Microsoft Hack: Let the Flogging Begin
Let's hope Microsoft's spinmeisters got a good night's sleep, because today is going to be a busy day. Breaking news from the Wall Street Journal that hackers have probably been romping through Microsoft's stash of source code for three months has to gall the company, not to mention the easily miffed Bill Gates. After all, stolen code is one thing. The public ridicule that's sure to ensue is another.
According to the Journal, the pilfering was spotted when Redmond security detected passwords being remotely sent to an e-mail account in Russia. Logs showed that the internal passwords were used to spirit away the source code for software that included Windows and Office, reported Ted Bridis and Rebecca Buckman. Microsoft discovered the break-in Wednesday and spent a day trying to thwart the thieves before contacting the FBI on Thursday. The company has confirmed the break-in, but not the theft of any data.
When a bully gets a black eye, there are smiles all around. The Journal's was understated but direct: "The electronic burglary is an embarrassment for Microsoft, among the world's most powerful companies and a favorite target of hackers, who deride the security components that Microsoft builds into its software products," the Journal wrote. But the irreverent Register gleefully feigned shock that, in addition to making off with the source code for Office and Whistler (the planned follow-on to Windows 2000), the perps may have snatched Bob.Net, too. The timing of the discovery has to make Redmond's PR machine wince: This week's cover of Business Week wonders whether Microsoft can protect the Windows platform and still win in the Net world. Guess we know the answer to that question.
As for what the thieves might do with the booty, the media have lots of ideas. Sell it, use it to write their own software, or maybe blackmail Microsoft into getting back the swiped source code, the Journal theorized. But SecurityFocus.com analyst Elias Levy told News.com that blackmail was an unlikely option. "A sophisticated attacker would realize that Microsoft is more likely to get law enforcement help than pay up," Levy said. He suggested the source code might be interesting to competitors looking for the skinny on how Microsoft is working. Whoever the thieves are, they're pretty smart, noted the Register. Contrary to the break-in being one of those "merry prankster 'look at me' things," the site wrote, the hackers may have had access to the files for up to three months, "and they didn't say 'look at me' once."
Reuters reported CEO Steve Ballmer is due to speak at a global Internet summit in Sweden today. One business he won't be announcing: Microsoft Security Systems Inc. - Deborah Asbrand
Microsoft Gets Hacked http://www.thestandard.com/article/display/0,1151,19745,00.html?nl=mg
Microsoft's Network Is Hacked and Code for Software Is Taken http://interactive.wsj.com/articles/SB972610940488497271.htm (Paid subscription required.)
Microsoft Says Hackers Broke Into Its Network (Reuters) http://washingtonpost.com/wp-dyn/articles/A25077-2000Oct27.html
Hackers Break Into Microsoft (AP) http://www.nytimes.com/2000/10/27/technology/27WIRE-MSHACK.html (Registration required.)
Microsoft Computer Network Hacked http://news.cnet.com/news/0-1005-200-3308084.html?tag=st.ne.1002.thed.ni
Microsoft's Network Attacked by Hackers http://news.ft.com/ft/gx.cgi/ftc?pagename=View&c=Article&cid=FT32EOFMTEC&live=true&tagid=IXL5PIPSW8C
MS Hacked! Russian Mafia Swipes Whistler, WinME Source? http://www.theregister.co.uk/content/1/14265.html